SAS No 99 Emphasizes Auditors Should Brainstorm Fraud Risks, Increase Professional

question 64

True/False

SAS No. 99 emphasizes auditors should brainstorm fraud risks, increase professional skepticism, use unpredictable audit test patterns, and detect management override of internal controls.

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Definitions:

Labor Price Variance

The difference between the actual cost of labor and the budgeted or standard cost, often analyzed in cost accounting.

Standard Rate

A predetermined cost or price that is established for accounting or budgeting purposes, often used in costing and financial analysis.

Actual Hours

The real number of hours worked, as opposed to planned or estimated hours.

Overhead Controllable Variance

The difference between the actual overhead incurred and the overhead that should have been incurred, based on controllable factors.